/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/020531.mbx T R O U B L E D C O M P A N Y R E P O R T E R A S I A P A C I F I C Friday, May 31, 2002, Vol. 5, No. 107 Headlines A U S T R A L I A AUSDOC GROUP: Freightways Sale Fails AUSTAR UNITED: Expects A$350M Revenue in 2002 CENTRAL NORTH: Vela Drops Forestry Partnership Bid OPEN TELECOM: Expects to Survive Industry Slump OPEN TELECOM: Requests Continued Suspension C H I N A & H O N G K O N G ASIA GLOBAL: China Netcom Plans to Bid for Debt-Laden Company ASIA GLOBAL: Parent Faces Class Action Suit in New York ASIA GLOBAL: Parent to Restructure After Two Bidders Back Out DAILYWIN GROUP: Down 13% on Profit-taking I N D O N E S I A BAKRIE FINANCE: Court Denies Bank Mandiri's Bankruptcy Petition BANK DANAMON: Trims Recapitalized Bonds by $2.5B BANK NIAGA: Government May Sell Stake Through Private Placement HOLDIKO PERKASA: MK Tbk IPO Draws 11 Bidders PERTAMINA TBK: Issues Tender to Sell Cinta Crude for June J A P A N AIOI INSURANCE: Stumbles on Overseas Reinsurance Claims FUJITSU LTD: Scraps Internet Business Tie-up Talks With Sony HOKKAIDO INTERNATIONAL: ANA Mulls 20% Investment NIPPON KAKOH: Enters Bankruptcy After Suffering JPY2B Loss OCHIAIRO: Historical Inn Seeks Court Protection K O R E A HYUNDAI MERCHANT: Set to Sell Car Shipping Unit for US$1.3B KOREA ELECTRIC: Names JP Morgan as Financial Consultant M A L A Y S I A EMICO HOLDINGS: MITI Okays Debt Restructuring Plan MALAYSIAN AIRLINE: Looks for Opportunities to Boost Standing MALAYSIAN AIRLINE: Posts Fifth Straight Year of Losses MALAYSIAN PLANTATIONS: Makes a Come-back With RM52.5M Profit NALURI BERHAD: Chairman Tajudin Seeks Board Re-election PLANTATION & DEVELOPMENT: Enters Into MoU With Everange SASHIP HOLDINGS: Says No Material Evidence in Financial Reports STAR CRUISES: Shares Plunge After Stock Sale Plan Announcement TECHNOLOGY RESOURCES: Chief Tajudin Disposes of 13% Stake TEXCHEM CONSUMERS: Selling 2M Shares in La Primavera TIME DOTCOM: Omar Retires as Director P H I L I P P I N E S METRO PACIFIC: Mum on Sale Rumors NATIONAL POWER: Agrees With Salcon on Revised Power Deal PHILIPPINE AIRLINES: Gov't May Regain Control of Flag Carrier PHILIPPINE LONG: Expects PhP60M Earnings From Net Service PHILIPPINE LONG: Stocks Surge on Sellout Rumor PILIPINO TELEPHONE: Digitel Denies Piltel Stake Purchase Rumors PRESTO-TIVOLI: Universal Robina Closing Down Ice Cream Unit S I N G A P O R E SEMBCORP LOGISTICS: Denies Ties With Dilmun Bahrain T H A I L A N D ITALIAN-THAI: 50M Share Offer Fully Subscribed ITALIAN-THAI: Sells 50M Shares Via Rights Issue ITALIAN-THAI: Gets a "Buy" Rating on Earnings Improvement TPI POLENE: Creditors Agree on Siam City Cement Deal - - - - - - - - ================= A U S T R A L I A ================= AUSDOC GROUP: Freightways Sale Fails ------------------------------------ Courier Ausdoc Group Ltd said Thursday talks to sell its biggest unit, Freightways Express Ltd, in New Zealand have failed, AFX Asia reported. ABN AMRO's AAH.AS private equity division is widely expected to make a bid for Ausdoc, which put itself up for sale in December. According to Managing Director Alan Freer, the bid price was not in accordance with their expectations, nor were some of the terms. Chairman Michael Butler said the Company is continuing discussions with another party with whom AUSDOC entered into exclusive negotiations in relation to a possible cash takeover offer for AUSDOC shares. The unnamed bidder for the whole group now has an exclusive agreement with Ausdoc to make a cash offer of not less than A$2.13 a share by June 18, valuing the group at around A$185.7 million. AUSTAR UNITED: Expects A$350M Revenue in 2002 --------------------------------------------- Sydney's Austar United Communications Ltd. expects to generate revenue of over A$350 million in its fiscal year 2002, Dow Jones Newswires reports. Chief Executive John Porter expects positive earnings before tax and other charges this year, following a net loss of A$682.1 million in 2001 from a loss of A$319.4 million in 2000. Austar operates pay television services in regional areas, and has 430,000 subscribers, making it the second-largest company in the industry behind Foxtel. U.S.-listed UnitedGlobalCom Inc. controls the Company. CENTRAL NORTH: Vela Drops Forestry Partnership Bid -------------------------------------------------- Receivers Ferrier Hodgson of Central North Island Forestry Partnership (CNI), which controls tone of the world's largest man-made forests, said Thursday that Vela Forestry Ltd had decided not to go ahead with the purchase of the Company's forestry assets, Dow Jones Newswires reported. The receiver did not elaborate, saying neither party will offer comment. Vela's withdrawal from the bid paves way for the Fletcher Challenge Forests (FFS) to try and wrest control of the forestry partnership. Two weeks ago, Fletcher Forests said Citic would inject US$200 million into CNI, giving Citic a 35 percent stake in Fletcher. The equity injection will enable Fletcher to bid for the CNI forestry assets if Vela's bid fails. The new equity from Citic will help Fletcher Forests buy the 190,000-hectare CNI Forestry Partnership, which was put into receivership early last year after owing its bankers about $715 million. OPEN TELECOM: Expects to Survive Industry Slump ----------------------------------------------- Open Telecommunications Ltd founder Wayne Passlow admitted the future of the telco services group depends on the outcome of an independent report from management consultant Deloitte Touche Tohmatsu into the Company's strategy. The content of Deloitte's report would be revealed to the market later this week. Mr Passlow said more money was needed to fund the operations, where one of the financing options was a $10 million rights issue. The founder also expected OpenTel's remaining customers to stay in business because of an increase in mobile, Internet and fixed-line telephone communications. While Mr Passlow told shareholders he expects the company to survive, analysts remain skeptical about its future amid the worldwide collapse in telecom companies. OPEN TELECOM: Requests Continued Suspension ------------------------------------------- Open Telecommunications Ltd. requested Thursday that the Australian Stock Exchange maintain the shares trading suspension until June 6, Dow Jones Newswires reported. The Sydney-based telecommunications software developer announced a major restructuring in March, when it said it would focus on its core business of developing and marketing its packet-aware operational support systems and software products. Non-strategic and non-profitable product lines, businesses and software development were shut down. Open Telecommunications will incur a one-off charge of A$1.4 million in the first half ending June 30. The Company has appointed an independent adviser to prepare a report in relation to its financial position. ================================ C H I N A & H O N G K O N G ================================ ASIA GLOBAL: China Netcom Plans to Bid for Debt-Laden Company ------------------------------------------------------------- China Netcom Group, China's second-largest fixed-line telephone company, plans to submit a bid this week for Asia Global Crossing Ltd., the Wall Street Journal reported, citing unidentified sources. A person involved in the planned offer said Netcom would seek a controlling stake in the distressed undersea-cable operator, which would give it access to a fiber-optic network that carries voice and data traffic among seven Asian countries and the West Coast of the U.S. He declined to divulge the size or other details of the offer. The move by Netcom would be the only known offer for Asia Global Crossing, which is 58.9 percent owned by Global Crossing Ltd. The operator owes hundreds of millions of dollars in debt and is on a trajectory to run out of cash early next year. Spokesmen for Netcom and Asia Global Crossing could not be reached for comment. ASIA GLOBAL: Parent Faces Class Action Suit in New York ------------------------------------------------------- Cohen, Milstein, Hausfeld & Toll, P.L.L.C. has commenced a class action lawsuit in the United States District Court for the Southern District of New York on behalf of purchasers of Global Crossing, Ltd. common stock between May 24, 1999, and Oct. 4, 2001, inclusive, against Salomon Smith Barney, Inc. and its well known telecommunications analyst, Jack Grubman, for violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934. Cohen, Milstein, Hausfeld & Toll, P.L.L.C. is involved in five similar suits against Merrill Lynch and its internet analyst Henry Blodget, as well as a case against Salomon Smith Barney and Jack Grubman on behalf of purchasers of WorldCom. The Complaint alleges that defendants violated sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and SEC Rule 10b-5 promulgated thereunder, by the issurance of analyst reports regarding Global Crossing which recommended the purchase of Global Crossing common stock and which set price targets for Global Crossing common stock without any reasonable factual basis. When issuing their Global Crossing reports, defendants failed to disclose significant, material conflicts of interest that they had, in light of their use of Grubman's reputation and his Global Crossing analyst reports, to obtain investment banking business for Salomon. Plaintiffs seek to recover damages on behalf of all those who purchased shares of Global Crossing common stock during the Class Period. ASIA GLOBAL: Parent to Restructure After Two Bidders Back Out ------------------------------------------------------------- Global Crossing Ltd. will propose a stand-alone restructuring plan to its creditors to shore up confidence after Hutchison Whampoa Ltd. of Hong Kong and Singapore Technologies Telemedia Pte. Ltd. dropped a bid for the fiber-optic carrier Saturday. Attracting new bidders remains a top priority for Global Crossing, which filed for Chapter 11 bankruptcy-court protection in January. The plan to restructure Global Crossing on its own still lacks financial specifics and has yet to be filed with the bankruptcy court. It received a tentative nod from some creditors worried that the company would enter an auction without any solid footing. The proposed plan would raise cash by the sale of Global Crossing assets, namely the company's teleconferencing business, its United Kingdom-based national network and the Global Marine division, a group of ships that lay fiber-optic cable. In 1999, Global Crossing paid $2.5 billion for the U.K.-fiber network and shipping business. Separately, at least three or four bidders are expected to materialize with bids for Global Crossing's 58.9 percent-controlled subsidiary, Asia Global Crossing. Global Crossing Chief Executive John Legere said the proposed plan would require an additional cash infusion beyond the asset sales. DAILYWIN GROUP: Down 13% on Profit-taking ----------------------------------------- Watch manufacturer Dailywin Group Ltd was down HK$0.017 or 13.386 percent at 0.11 on 27.65 million shares on profit taking, AFX Asia reported Wednesday. "The stock posted substantial gains after it announced plans to take up stakes in Wai Yuen Tong Medicine. Now it is just facing some profit-taking," a dealer at a local brokerage said. Dailywin earlier agreed to acquire the entire issue share capital of Reliance City Investments Ltd and Plenty Time Investments Ltd from Wang On Group Ltd and Town Health International Holdings Co for HK$220 million, which will ultimately give it a 99.79 percent stake in Wai Yuen Tong Medicine. Of the total consideration, HK$136 million will be settled by the issue of 13.6 billion new shares and the remaining 84 million will be settled by the issue of convertible notes. ================= I N D O N E S I A ================= BAKRIE FINANCE: Court Denies Bank Mandiri's Bankruptcy Petition --------------------------------------------------------------- The Jakarta Commercial Court has rejected a bankruptcy petition filed by state-run PT Bank Mandiri against PT Bakrie Finance Corporation over unpaid debts of 40.7 billion rupiah, AFX Asia reported. According to Judge Cristi Purnamiwulan, a creditor could not sue Bank Finance after majority of creditors have agreed to accept Bakrie Finance assets as partial payment for aggregate debts of 2.2 trillion rupiah under an asset-for-debt swap agreement. Bakrie Finance said the asset-for-debt swap would only enable creditors to recover 50 percent of their loans to the company. Bank Mandiri was among the creditors who rejected the asset swap plan. Eighty-three other creditors, accounting for 96.51 percent of Bakrie Finance's total debt, approved the restructuring of the company's debts worth Rp1.46 trillion (about US$158 million). Under the debt restructuring deal, the Company is required to transfer all its assets to a special purpose vehicle. The assets include insurance firms PT Asuransi Ikrar Lloyd and PT Asuransi Jiwa Bakrie, securities firm PT Bintang Sekuritas Indonesia, and financial services company PT Swadinamika Bakrie Finance. Bakrie Finance has a debt total of Rp2.2 trillion to 45 creditors, of which Rp1.7 trillion has matured on Dec 31, 2001. Some of the 45 creditors are Lippo Bank, Indover Asia Ltd, Sinar Mas Multiartha, Bank of America, Hanil Leasing & Financing, Malaysian Banking Bhd, Keppel Tat Lee Bank Ltd, Korea Leasing Pte Ltd, Commonwealth Development Bank and Bank Danamon. BANK DANAMON: Trims Recapitalized Bonds by $2.5B ------------------------------------------------ Bank Danamon has reduced its recapitalization bonds from Rp45 trillion (US$5 billion) in early 2001 to Rp22 trillion (US$2.5 billion) now, IndoExchange reported. Bank President Arwin Rasyid said the bank, now controlled by the Indonesian Bank Restructuring Agency (IBRA), will continue to reduce its dependence on the recapitalization bonds. Mr. Rasyid said the bank has sold part of the bonds to the market and part has been returned to IBRA to repay a debt of Rp14 trillion in Bank Indonesia Liquidity Credit. He said the bank is still waiting for IBRA's decision about the mechanism of the program for an asset-to-bond swap. On November last year, TCR-AP reported that PT Bank Danamon settled its obligation to pay the liquidity support extended by the IBRA. It had also settled the interests of the government's bailout funds worth Rp749.8 billion. BANK NIAGA: Government May Sell Stake Through Private Placement --------------------------------------------------------------- State Enterprises Minister Laksamana Sukardi said the Indonesian government may sell part of its 51 percent stake in PT Bank Niaga Tbk through a secondary offering or private placement in the open market if final bids offered are too low, Agence France-Presse reports. The Indonesian Bank Restructuring Agency (IBRA) said it had received final bids from two consortia, led by Malaysia's Commerce Asset Holding Bhd and Australia's ANZ Banking Group Ltd. The state agency currently controls around 97 percent of the stock after bailing out Niaga in the late 1990s. IBRA did not reveal the bids by the two consortia. In preliminary bidding, it previously said it received bids ranging Rp15 to Rp25 per share. The sale is part of the economic reform program agreed with the International Monetary Fund, which is coordinating a $5 billion aid package. HOLDIKO PERKASA: MK Tbk IPO Draws 11 Bidders -------------------------------------------- Holdiko Perkasa issued a progress update on the sale of its 47.5 percent shareholding in PT Metropolitan Kentjana Tbk (MK Tbk), an integrated real estate developer whose portfolio of prime property assets in Jakarta include the Pondok Indah Mall, Pondok Indah Estate, Puri Indah Mall, Puri Indah Estate, Wisma Metropolitan I & II, and World Trade Center Building. During MK Tbk's Extraordinary General Meeting of Shareholders on Wednesday, it was confirmed that plans for MK Tbk to offer its new shares to the public (IPO) will be carried out according to schedule and the filing made to the Capital Market Supervisory Agency (Bapepam) this week. In the meantime, the level of investors' interest in the strategic sale of Holdiko's 47.5 percent ownership in MK Tbk is very encouraging, as the Company has received 11 strong preliminary bids from local and international investors coming from both the property and financial sectors. Due to the very competitive prices of the preliminary bids, all 11 investors have been invited to participate in the due diligence phase. As a result of the large number of participants, IBRA/Holdiko plan to carry out a third stage in the bidding process. After the due diligence and the binding bid phases, IBRA/Holdiko will select the three investors submitting the highest binding bids. These three investors will be given the opportunity to go to the next phase where they may resubmit a higher final binding bid. IBRA/Holdiko will then select and announce the winning bidder by end of June 2002. PT Holdiko Perkasa's team was formed in the 2H of 1999 with the objective of selling all of Holdiko's assets to fulfill its obligations to Indonesia Bank Restructuring Agency (IBRA) by 4 November 2002, the date when the Salim Group's settlement payment to IBRA is due. IBRA/Holdiko's press release on MK Tbk's sale progress issued Wednesday can be accessed at http://www.holdiko.com/prdetails.php?id=76&lang=enfollowing its previous press release on the launch of the sale process on MK Tbk http://www.holdiko.com/prdetails.php?id=75&lang=en. PERTAMINA TBK: Issues Tender to Sell Cinta Crude for June --------------------------------------------------------- State oil company, Pertamina has issued an offer to sell Cinta crude for lifting in June, Dow Jones Newswires reported yesterday. The tender offers 300,000 barrels of the medium, sweet crude for June 22-29 lifting, traders said, and closes May 31. Bids will remain valid for two days. In April, Pertamina sold a total of 550,000 barrels of Cinta and Minas crude for May. ========= J A P A N ========= AIOI INSURANCE: Stumbles on Overseas Reinsurance Claims ------------------------------------------------------- Aioi Insurance Co suffered consolidated losses in the year ended March 31 due largely to a 138.7 billion yen hit on overseas reinsurance claims, including those related to the September 11 terrorist attacks in the United States. The Tokyo-based property and casualty insurance company, created through the merger of Chiyoda Fire & Marine Insurance Co and Dai-Tokyo Fire & Marine Insurance Co, said the loss stems from obligations linked to reinsurance contracts it concluded with Fortress Re Inc. Aioi added that an appraisal loss of 41 billion yen on sharply devalued assets also contributed to the net loss. For the current business year to March 31, 2003, Aioi projects consolidated pretax and net profits of 29 billion and 11.5 billion yen, respectively, on group operating revenues of 1,100 billion yen. FUJITSU LTD: Scraps Internet Business Tie-up Talks With Sony ------------------------------------------------------------ Fujitsu Ltd., Japan's biggest computer manufacturing company, and Sony Corp. have agreed to discontinue negotiations for a possible tie-up in the Internet business after the two firms were unable to agree on deal terms, Kyodo News reported. The envisioned joint-venture included Sony's acquisition of Nifty Corp., Japan's top Internet service provider wholly owned by Fujitsu, but the two companies decided to break off talks on the collaboration as they remain far apart over the price of Nifty. In April, Tokyo-based Fujitsu projected it would break even on a group net basis this business year after hefty restructuring costs and the information technology slump pushed it into its worst loss ever last year. The Company reported a group net loss of 382.54 billion yen for the year ending March 31 on heavy restructuring costs and money- losing semiconductor and telecommunications-related operations. HOKKAIDO INTERNATIONAL: ANA Mulls 20% Investment ------------------------------------------------ All Nippon Airways Co. Ltd. (ANA), Japan's second-largest airline, is considering taking up to a 20 percent stake in domestic carrier Hokkaido International Airlines Co to win a code-share agreement from its lucrative route. The Asahi Shimbun reported yesterday that ANA is continuing talks with the struggling domestic airline known as Air Do, to provide code-sharing service in the route in an attempt to gear up for expected competition from Japan's No 1 carrier, Japan Airlines Co. Ltd. and the country's third-ranked carrier, Japan Air System Co. Ltd. in October. The Troubled Company Reporter Asia Pacific earlier said that Air Do might begin talks this week with Japan Airlines Co. on expanding alliances to include fuel procurement and use of airport counter space. Air Do believes that the expansion can help increase the efficiency of its operations and speed up its recovery through some financial assistance. The Hokkaido prefectural government, which has given 3.8 billion yen in aid to the airline, is pushing for a rebuilding effort entailing ANA stepping in and buying a stake in Air Do. Air Do is in arrears to the central government for airport landing/take-off fees and other taxes for about 900 million yen. The Company is likely to admit that its liabilities for the year ended in March exceed its assets when it announces its financial results in June. The airline has already received a total of 4.7 billion yen from Hokkaido municipalities and the local business community since its financial trouble surfaced in late 2000. NIPPON KAKOH: Enters Bankruptcy After Suffering JPY2B Loss ---------------------------------------------------------- The Tokyo District Court declared Nippon Kakoh Seishi Co bankrupt following the midsize paper manufacturer's application for voluntary bankruptcy on Wednesday, Kyodo News reported. Nippon Kakoh Seishi, the Minato-ku, Tokyo-based maker of art and coated paper used for brochures and books, has been hit hard by falling demand and prices as well as a large valuation loss on shareholdings. It incurred a consolidated net loss of 2 billion yen in fiscal 2001 to March 31. The Company has remained in the red for five years in a row. OCHIAIRO: Historical Inn Seeks Court Protection ----------------------------------------------- Ochiairo, one of Japan's historical inns frequented by famous writers, sought protection from creditors at the Tokyo District Court on Wednesday after years of sliding revenues, Japan Today reported. The inn, based in Amagi-Yugashima, Shizuoka Prefecture, is designated an important cultural property by the government. Ochiairo is burdened with 1 billion yen in liabilities, credit- research agency Teikoku Databank said. ========= K O R E A ========= HYUNDAI MERCHANT: Set to Sell Car Shipping Unit for US$1.3B ----------------------------------------------------------- Hyundai Merchant Marine (HMM), the shipping firm based in Seoul, is set to sell off its ocean-going automobile transportation operation to Europe's Wilhelmsen-Wallenius Lines (WWL) consortium for of US$1.3 billion, the Digital Chosun reports. The former Hyundai group shipping giant has been undergoing a severe credit crunch recently, and the planned sales of the operation are likely to help the shipping firm get out of its liquidity shortage. According to the deal, which will be concluded soon, HMM will be handing over its fleet of some 70 pure car carriers, including 20 rented ones, to the WWL. The European consortium had demanded that the Korean automakers grant an exclusive transportation-service contract to it as a prerequisite to the deal, to which the Hyundai Motor group agreed. Officials of HMM's creditors also said that the HMM and the consortium are likely to set up a new firm in Seoul that will take over the operation. They said that Hyundai Motor would hold a minimal 10 percent stake in the firm. HMM has entered into special agreement for improvement of financial structure with Korea Exchange Bank to resolve the shortage of liquidity and repaid 821,888 million won of borrowings by transferring future trade receivables and selling investments and property, plant and equipment in January and February, 2002. As of March 31, 2002, Hyundai Merchant has current assets of $1.2 billion against current liabilities of $2.3 billion. KOREA ELECTRIC: Names JP Morgan as Financial Consultant ------------------------------------------------------- Korea Electric Power Corp. (KEPCO) has chosen JP Morgan Consortium as its financial consultant for the electric business sales project, the Korea Herald reported. The consortium is made up of JP Morgan, UBS Warburg and Daewoo Securities. The KEPCO-JP Morgan contract term will be for six months. Once the decision to employ JP Morgan is finalized, KEPCO will begin taking bids for one of its five affiliates that are planned for privatization, the paper said. KEPCO will soon begin the selection process for legal and accounting consultants. The state-run power company had attempted to sell 51 percent stakes in two of its units last year as part of its privatization plan, but failed due to a lack of bidders. As of June 30 2001, Seoul's electric utility company has current assets of $3.25 billion against current liabilities of $7.2 billion. =============== M A L A Y S I A =============== EMICO HOLDINGS: MITI Okays Debt Restructuring Plan -------------------------------------------------- Emico Holdings Berhad is pleased to announce that the Ministry of International Trade and Industry (MITI), on 24 April 2002, approved the Company's proposed debt restructuring scheme, the two-call rights issue, and the proposed employees share option scheme, subject to approvals from the Foreign Investment Committee and the Securities Commission. However, the approval for the proposals was not made on the basis of the revised proposed rights issue as announced on 28 February 2002, so approval clarification from the Ministry of International Trade and Industry is being sought. A further announcement will be made once clarification from MITI is obtained. MALAYSIAN AIRLINE: Looks for Opportunities to Boost Standing ------------------------------------------------------------ National carrier Malaysian Airline System Bhd (MAS) is looking into various opportunities to enhance its position and to contain its future losses, Bernama reported. According to Managing Director Datuk Md Nor Yusof, MAS could concentrate on enhancing its products offering by looking at ways to mount additional frequencies to Frankfurt, Beijing, Guangzhou, Saigon, Hanoi and Phnom Penh. Md Nor said extra flights and additional capacity would also be mounted to the Middle East especially during the summer holidays. The move comes after the state-controlled MAS incurred a pre-tax loss of RM846.492 million in the financial year that ended March 31, 2002, compared with a loss of RM386.636 million in the preceding year. Md Nor Yusof said the loss was registered amid disrupted operating environment, following the September 11 terrorist attacks on the U.S. MALAYSIAN AIRLINE: Posts Fifth Straight Year of Losses ------------------------------------------------------ Following the adoption of two new accounting standards, national carrier Malaysian Airline System Bhd (MAS) posted full year net losses of RM835.6 million ($220 million), double that of 2001 which is now restated as RM417.4 million on a 5.1 percent drop in turnover to RM8.5 billion. The current figure is the Company's fifth straight year of losses. Under the new accounting policy, MAS recognized a net RM409.4 million in foreign exchange gains and provisions for aircraft maintenance that arose during the year ended March 31, 2002. MAS had dealt with the two items differently in previous years, but will now recognize the items in the year that these accrue. Earlier this year, the airline had reported RM1.1 billion net losses for its first nine months, based on its old accounting policy. Its 2001 losses were further reduced after increased gains from sales of aircraft and spares and an insurance claim on damaged aircraft. Sales of aircraft and parts in 2001 totaled RM235.8 million, against RM21 million this year, while income recognized from the insurance claim came up to RM223.2 million. Meanwhile, the carrier has managed to raise RM1.5 billion from the sale of properties that are part of the corporate restructuring exercise announced in January. It has received some advance payment from the sale for the first major debt repayment on a 50 billion yen loan due on Thursday. MALAYSIAN PLANTATIONS: Makes a Come-back With RM52.5M Profit ------------------------------------------------------------ Malaysian Plantations Bhd (MPlant) returned to profitability for the year ended March 31, 2002 seeing a net profit of RM52.54 million, up from its net loss of RM13.78 million in the previous corresponding period. The Company also posted a higher turnover of RM1.20 billion, up from RM583.34 million previously. According to a report from the Edge Daily, the improvement in the Company's results was mainly due to an enlarged business base arising from the bank merger exercise, which was completed in January 2001 and improved loan recoveries by its banking units. NALURI BERHAD: Chairman Tajudin Seeks Board Re-election -------------------------------------------------------- In an announcement to the Kuala Lumpur Stock Exchange on May 29, Naluri Bhd said its Chairman Tan Sri Tajudin Ramli and directors Datuk Lim Kheng Yew and Datuk Lau Ngan Siew offered themselves for re-election to the Company's Board during its annual general meeting on June 20. Tajudin lost control of Naluri last year after he failed to repay RM1.4 billion in personal loans that had been mainly secured by Naluri shares. The shares, representing a 44.84 percent controlling block in Naluri, were acquired by Pengurusan Danaharta Nasional Bhd. Danaharta offered the block for sale in an open tender a fortnight ago and last week accepted a bid from privately-held Valiant Entity Sdn Bhd, which was the sole bidder for the shares. Tajudin recently lost a 13.15 percent controlling block of shares in Technology Resources Industries Bhd (TRI), when Danaharta sold it to Telekom Malaysia Bhd. PLANTATION & DEVELOPMENT: Enters Into MoU With Everange ------------------------------------------------------- Further to the announcement made on 2 May 2002, Arab-Malaysian Merchant Bank Berhad, on behalf of Plantation & Development (Malaysia) Berhad (P&D), told the Kuala Lumpur Stock Exchange Wednesday that the Company entered into a May 29, 2002 Memorandum of Understanding (MOU) with Datin Yam Yuet Chew, Goh Yaik Peah, Nawal Aeida Binti Asarudin, Chow Dai Chin, Mohamed Nadzri bin Mohamed Jelas, Mai Farah Zaiti Bt. Meor Chek Hussien, Meadow Dazzle Sdn Bhd and CCL Corporation Sdn Bhd (Vendors), who are the registered and beneficial shareholders of Everange Sdn Bhd. Everange Sdn Bhd and/or its subsidiaries are the registered owner of 1,692.97 acres of development land located in the Mukim of Ijok, Daerah Kuala Selangor, Selangor Darul Ehsan. The MOU sets forth the general understanding between P&D and the Vendors to negotiate and to finalize the terms and conditions for Everange Sdn Bhd to participate in the proposed debt and equity restructuring scheme of P&D. SASHIP HOLDINGS: Says No Material Evidence in Financial Reports --------------------------------------------------------------- The Board of Directors of Saship Holdings Berhad (SHB), formerly known as Westmont Industries Berhad, told the Kuala Lumpur Stock Exchange Wednesday that there is no material difference between the audited financial statements of the Company and the Group and the unaudited results that was announced on 27 February 2002. The net loss for the year ended 31 December 2001 was RM80.723 million as compared with the unaudited net loss of RM81.990 million which is a difference of only 1.5 percent. For the audited financial statements for the year ended 31 December 2001, the auditors have qualified their report as follows: During the year, the Group and the Company incurred a gross loss of RM9,352,000 and RM1,810,000 respectively, which gives an indication that an impairment loss of the Group's and the Company's property, plant and equipment may have occurred. During the year, the Company made an allowance for impairment loss of RM1,658,000 on its leasehold buildings. However, the Group and the Company did not make a formal estimate of the recoverable amount of the remaining property, plant and equipment. Saship Holdings is unable to ascertain the reasonableness of the carrying value of the Group's and the Company's property, plant and equipment. Contract work in progress of the Group at year-end includes three power barges with a total cost of RM194.4 million. The Directors have made full provision for the capitalized cost incurred on two of the barges amounting to RM11.6 million. The remaining carrying value of RM182.8 million relates to a substantially completed barge. An interim Court injunction was obtained by a third party restraining the subsidiary from removing, disposing, selling and/or dealing with certain equipment forming a substantial part of the substantially completed barge. In August 2000, an independent consulting engineering firm was commissioned to undertake a financial audit on the power barges. The evaluated cost of the power barges on the "as-built" basis, taking into consideration the effects of certain risk factors affecting the resale value, was assessed at RM129.0 million. No provision for foreseeable loss is made in the financial statements to reduce the carrying value of the power barges to the evaluated cost as the Directors are of the opinion that the financial audit does not constitute a valuation performed by professional valuers. Had a provision for foreseeable loss been made, the loss after taxation of the Group for the year ended 31 December 2000 would have been RM134.9 million and the deficit in shareholders' funds at 31 December 2001 would have been RM540.4 million. The Company is unable to ascertain the reasonableness of the carrying value of RM182.8 million relating to the third barge. Saship Holdings is uncertain of the full recovery of certain trade debtors if the Group amounting to RM193.8 million at year end, as a substantial amount of the proceeds on the barges sold have not been received yet. The Group is unable to exercise management control over Sabah Shipyard Philippines, Inc. (incorporated in Philippines), Sabah Shipyard Pakistan Ltd (incorporated in Pakistan) and Westmont Power and Resources Corporation (incorporated in Philippines). These companies were deconsolidated in previous years. The Companies Act, 1965 requires the financial statements of the subsidiaries to be annexed to this set of financial statements. The requirement has not been met, as the financial statements of the subsidiaries are not available. Saship Holdings also said that a subsidiary defaulted on its term loans repayment in previous years, rendering the full amounts of these loans becoming immediately payable. The Company, together with a subsidiary, filed in 1998 a Scheme of Arrangement under Section 176 of the Companies Act 1965 to reorganize the amount due to their debenture holders, partially secured creditors and other unsecured creditors. The Scheme of Arrangement was approved by the required number of creditors on 10 August 1999 and the Securities Commission on 19 September 2000. The Proposed Scheme of Arrangement was also approved by the members at the Extraordinary General Meeting of the Company held on 16 October 2001. The Company is in the process of obtaining all other relevant approvals/sanction from the authorities to implement the Scheme of Arrangement. No adjustments have been made in the financial statements to reduce/increase the value of assets to their recoverable amounts, to provide for any further liabilities which may arise and to reclassify fixed and non-current assets and long term liabilities as current assets and current liabilities respectively, as it is the Group's and Company's intention to continue their operations. The ability of the Group and Company to operate as a going concern is dependent upon future profitable operations, the continuous financial support form their bankers and creditors and successful implementation and conclusion of the Scheme of Arrangement. Without future profitable operations, the financial support of their bankers and creditors and the successful implementation and conclusion of the Scheme of Arrangement, there is substantial doubt that the Group and the Company will be able to continue as a going concern and, therefore, as appropriate realize their assets and discharge their liabilities in the normal course of business. Consequently, adjustments may be required to the recoverability and classification of recorded asset amounts and classification of liabilities. The Company and its subsidiaries are engaged in various litigations that may have a material effect on the financial position of the Group and of the Company. Full provision has not been made in the financial statements as the Directors contend that the outcome of these litigations, which have been included in the Scheme of Arrangement, are highly uncertain. The ability of the Group and Company to operate as a going concern is also dependent on the satisfactory resolution of these litigations. In view of the significant effects of the above matters, Saship Holdings is unable to form an opinion as to whether: a) the financial statements are properly drawn up in accordance with the provision of the Companies Act, 1965 and applicable approved accounting standards in Malaysia so as to give a true and fair view of: i) the state of affairs of the Group and of the Company at 31 December 2001 and the results of their operations and cash flows for the year ended on that date; and ii) the matters required by Section 169 of the Companies Act, 1965 to be dealt with in the financial statements of the Group and of the Company; and b) the accounting records required by the Companies Act, 1965 to be kept by the Company and the subsidiaries of which we have acted as auditors have been properly kept in accordance with the provisions of the said Act. However, in Saship Holdings' opinion, the registers required by the Companies Act, 1965 to be kept by the Company and its subsidiaries of which they have acted as auditors have been properly kept in accordance with provisions of the said Act. STAR CRUISES: Shares Plunge After Stock Sale Plan Announcement -------------------------------------------------------------- Shares of Star Cruises Ltd. fell as much as 11 percent after the world's fourth-largest cruise line operator said it would raise a net HK$603 million ($77 million) by selling 189 million new shares to fund its fleet expansion. According to a Bloomberg report, the Company's Hong Kong-traded shares fell as much as 40 HK cents to HK$3.20. Its shares in Singapore fell as much as 6.6 percent to S$42.5 cents after the announcement. The sale of Star Cruise's new shares at HK$3.30 apiece was an 8.3 percent discount to the closing share price of HK$3.60 on Tuesday, the company said in a statement to the Hong Kong Stock Exchange. Star Cruises returned to profit in the first quarter, helped by cost cuts and the addition of two ships. It expects an improvement of its profit this year as economies rebound. DBS Group Holding Ltd. is managing the share sale. TECHNOLOGY RESOURCES: Chief Tajudin Disposes of 13% Stake --------------------------------------------------------- Technology Resources Industries Bhd (TRI) Chairman and Chief Executive Officer, Tan Sri Tajudin Ramli sold a 13.15 percent stake in the company comprising 260.87 million shares on May 20, the Edge Daily reported. After the sale, his stake was reduced to 5.32 percent, or 105.67 million shares. Telekom Malaysia Bhd, which holds a 31.25 percent stake in TRI, wants the latter to hold an extraordinary general meeting to remove Tajudin and three other directors. TEXCHEM CONSUMERS: Selling 2M Shares in La Primavera ---------------------------------------------------- On May 29, Texchem Consumers Sdn. Bhd. (TCSB), a wholly owned subsidiary of Texchem Resources Bhd. (TRB) had entered into a conditional Share Sale Agreement (SSA) with Texchem Corporation Sdn. Bhd. (Texcorp) having its registered office at Level 16, Menara PSCI, 39 Jalan Sultan Ahmad Shah, 10050 Penang to dispose 2,000,000 ordinary shares of RM1.00 each in La Primavera Sdn. Bhd. for a total cash consideration of RM2,000,000. The salient features of the SSA are as follows: 1. Completion The completion of the SSA shall be: (a) Upon payment of the consideration in full to TCSB which is within 6 months from the date of the SSA or such other date as may be agreed upon between the parties; or (b) 1 month after the date upon which all the conditions as set out in last paragraph of this announcement have been satisfied and/or waived; whichever is later. 2. Payment terms The purchase consideration of RM2,000,000 shall be paid upon the Completion Date. 3. The LP Shares will be acquired free from all liens, charges and encumbrances with full legal and beneficial title with effect from the Completion Date. The cost of investment of TCSB in LP in February 1999 was RM2,000,000.00. LP, involved in the retailing of shoes, was incorporated in Malaysia under the Companies Act, 1965 on 6 September 1975. It has an authorized share capital of RM25,000,000 comprising 25,000,000 ordinary shares of RM1.00 each and an issued and paid-up share capital of RM12,000,000 comprising 12,000,000 ordinary shares of RM1.00 each. Texcorp was incorporated in Malaysia under the Companies Act, 1965 on 26 June 1980. It has an authorized share capital of RM50,000,000 comprising 45,000,000 ordinary shares of RM1.00 each and 5,000,000 6.5 percent non-convertible redeemable preference shares of RM1.00 each and an issued and paid-up share capital of RM20,400,000 comprising 20,400,000 ordinary shares of RM1.00 each. Texcorp is involved in the provision of management services for the Texchem Group (i.e. TRB and its associated and subsidiary companies), investment holding and new business developments. Consideration The sale consideration for the LP Shares is RM2,000,000.00 which will be fully satisfied by cash. Rationale As LP had not been able to recover from its financial and operational difficulties, the Proposed Disposal was made to enable TRB Group to improve its financial performance. As the investment will be disposed of at cost, the past equity accounted share of losses of LP by TRB Group amounting to about RM730,000 as at 31 December 2001 would be written back, thus giving a positive financial effect to TRB's consolidated group results for 2002. Utilization of sale proceeds The sale proceeds will be utilized by TCSB for its trading activities through the injection of such funds generated from the disposal. This will enable TCSB to further enlarge and strengthen its operation and distribution network, which is essential for long term improvement in profitability and growth. Financial Effects 1. Share Capital The Proposed Disposal will not have any effect on the share capital of TRB as the Proposed Disposal will be fully satisfied by cash. 2. Earnings The Proposed Disposal will not have a significant effect on the earnings for the financial year ending December 31 2002 for the TRB Group. 3. NTA The Proposed Disposal will not have a significant effect on the NTA as at December 31 2001. 4. Substantial shareholder The Proposed Disposal will not have any impact on the shareholdings of the substantial shareholders of TRB as the Proposed Disposal will be fully satisfied by cash. Statement by Directors The Board of Directors is of the opinion that the Proposed Disposal is in the best interest of TRB. Directors' and Substantial Shareholders' Interest Dato' Seri Fumihiko Konishi (DFSK) is a common director and deemed substantial shareholder of TRB, Texcorp, LP and TCSB. Mr Yasuhiro Nishida is a common director of TRB, Texcorp, LP and TCSB and also a shareholder of TRB. Mr Hans Peter Eichenberger is a common director of LP and TCSB. Mr Jeffrey Lee Siew Khee is a director of TRB. Mr Mark Kim Lin Khon is a director and shareholder of TRB. Texchem Holdings Sdn. Bhd. (THSB) and Texcorp are companies related to DFSK and are also substantial shareholders of TRB. THSB is also a substantial shareholder of Texcorp. Datin Seri Atsuko Konishi, an alternate director of Texcorp and a director of THSB, is the wife of DFSK and she is also a shareholder of TRB and Texcorp. Mrs Mari Nakamura and Ms Mika Konishi, the daughters of DFSK, are also shareholders of TRB and Texcorp. Save for the above, none of the other Directors and substantial shareholders of TRB or any person connected to the Directors of substantial shareholders of TRB have any interest, direct or indirect in the Proposed Disposal. Documents for inspection The SSA can be inspected at the Registered Office of TRB at Level 16, Menara PSCI, 39 Jalan Sultan Ahmad Shah, 10050 Penang from Mondays to Fridays (except public holidays) during business hours for a period of two weeks. Approvals Required The Proposed Disposal is subject to the following approvals: (a) Foreign Investment Committee; (b) TRB shareholders at an Extraordinary General Meeting to be held; and (c) Texcorp shareholders at an Extraordinary General Meeting to be held. TIME DOTCOM: Omar Retires as Director ------------------------------------- TIME dotCom Berhad told the Kuala Lumpur Stock Exchange Wednesday that Encik Abdul Wahid Omar retired as Director at the Fifth Annual General Meeting of the Company held on 24 May 2002 according to the Articles of Association. The Company added the director has not sought re-election. ===================== P H I L I P P I N E S ===================== METRO PACIFIC: Mum on Sale Rumors --------------------------------- Metro Pacific Corp., a Manila-listed property developer, has remained tight-lipped concerning market rumors that parent First Pacific Co. Ltd. had offered the Company to businessman John Gokongwei Jr, majority owner of JG Summit Holdings, Manila Bulletin reported. "We decline to comment on the rumor," a Metro Pacific spokesman said. Dealers in the market said earlier speculation was rife that First Pacific had offered Metro Pacific to Gokongwei, who had refused to consider the offer unless First Pacific-led Philippine Long Distance Telephone Co. was included in the package. PLDT and First Pacific officials were likewise unavailable to comment. Metro Pacific Corp., 80.6 percent-owned by First Pacific Co., reported last week a net loss to 521.35 million pesos for the year ended March 2002, up 2.2 times from 162 million pesos a year earlier. The Company is currently engaged in a comprehensive debt reduction exercise, including the restructuring of certain business operations, to further improve its prospects in the marketplace. Metro Pacific has debt worth 12 billion pesos, 7 billion pesos of which consist of local debts. The remainder is debts to Hong Kong-based parent firm. NATIONAL POWER: Agrees With Salcon on Revised Power Deal -------------------------------------------------------- National Power Corp. (Napocor), saddled with $7 billion in debt, have agreed to amend with Salcon Power Corp. their 15-year rehabilitate-operate-maintain-and-manage (ROMM) agreement on the Naga power plant complex in Cebu province to allow certain reimbursements to Salcon Power. In a disclosure to the Philippine Stock Exchange Wednesday, Salcon Power Senior Vice with Napocor the first amendment to the ROMM agreement of 1994, bringing to a close several years of discussion between the parties on how certain provisions of the ROMM agreement should be interpreted and applied. "It also resolves and paves the way for the early settlement of long-standing claims that the parties have against each other. The amounts of these claims are presently being finalized by the parties," Ballesteros added. Under the ROMM deal, Salcon Power's billings to Napocor are fixed up to 2009, representing fees for generating and delivering electricity exclusively to Napocor through the Naga power plant complex. Napocor's purchase of power from the facility is guaranteed on a take-or-pay arrangement, based on an energy minimum off-take specified in the ROMM agreement. PHILIPPINE AIRLINES: Gov't May Regain Control of Flag Carrier ------------------------------------------------------------- The government is considering retaking a controlling stake in flag carrier Philippine Airlines Inc., currently majority owned by tycoon Lucio Tan, Dow Jones Newswires reports. President Gloria Macapagal Arroyo said Thursday that the move would help the government liberalize the airline industry and promote tourism. Arroyo's plan suggests the government is willing to absorb losses from its flag carrier in the pursuit of achieving economic gains in tourism and other sectors. Philippine Airlines expects a loss of 1.6 billion in its fiscal year to March 31, 2002 due to the impact on the international travel business from the September 11 terrorist attacks on the U.S. PHILIPPINE LONG: Expects PhP60M Earnings From Net Service --------------------------------------------------------- Philippine Long Distance Telephone Co. (PLDT), the country's telecommunications giant, is projecting to earn net revenues of 60 million pesos (US$1.20 million) within the year of operations of its PLDT Vibe dial-up Internet service, BusinessWorld reports. PLDT National Retail Marketing Sector head Joaquin L. San Agustin said the new product would create new revenues for the company. PLDT aims to control 60 percent of the entire Internet broadband and narrowband markets. PLDT Vibe has now been activated to all postpaid residential landline subscribers of PLDT. As of the first quarter of the year, PLDT's subscribers totaled 2.1 million, 1.5 million of which is residential landlines. The dial-up Internet service is also available in the prepaid variant through the Vibe prepaid Internet cards. PHILIPPINE LONG: Stocks Surge on Sellout Rumor ---------------------------------------------- Shares of Philippine Long Distance Telephone Co. (PLDT) rose by 5 pesos to close at 435 pesos on a volume of 190,590 shares Wednesday on the Philippine Stock Exchange on reports that Hong Kong-based First Pacific Co. Ltd. might sell its controlling 17 percent stake in PLDT to Digital Telecommunications Inc, the Philippine Daily Inquirer reports. Market analysts believed that the cash-rich group of tycoon John Gokongwei, which was expanding in the telecommunications business, would be willing to buy out First Pacific. Digitel earlier launched a takeover bid for Eastern Telecommunications Philippines Inc. to expand its fixed line business. It was also rumored to be interested in buying PLDT's mobile phone unit Pilipino Telephone Corp., which underwent a comprehensive rehabilitation, but the Gokongweis denied this. Officials of PLDT and Digitel were not available for comment Wednesday. PILIPINO TELEPHONE: Digitel Denies Piltel Stake Purchase Rumors --------------------------------------------------------------- Digital Telecommunications Philippines Inc has rejected market whispers that it is seeking to acquire Philippine Long Distance Telephone Co's stake in Pilipino Telephone Corp (PilTel). "That's not true. That's purely rumor," William Pamintuan, Digitel's senior vice president for legal and intercarrier services told AFX-ASIA. Earlier, a spokesman from Digitel parent, JG Summit, declined to comment on the market speculation. Earlier this month, PilTel said it has decreased its net loss for the three months to March to 868.9 million pesos from the year earlier loss of 1.362 billion pesos. Piltel President, Napoleon Nazareno said the Company was able to cut expenses with the debt restructuring deal signed last year. PRESTO-TIVOLI: Universal Robina Closing Down Ice Cream Unit ----------------------------------------------------------- Universal Robina Corp. (URC) will close down its cream unit Presto-Tivoli in June after being in the red the past five to six years amid tough competition, the Philippine Daily Inquirer reports. "We can't afford to continue losing money," URC president Lance Gokongwei said. He did not say how much loss the unit incurred. URC has advised its distributors and retailers that it would discontinue ice cream production and focus on its profitable branded food products. ================= S I N G A P O R E ================= SEMBCORP LOGISTICS: Denies Ties With Dilmun Bahrain --------------------------------------------------- SembCorp Logistics Ltd., Singapore's largest logistics company, said Thursday that its Dilmun Navigation Group of companies has no links to the reportedly financially troubled Dilmun Shipping Ltd. "SembCorp Logistics wishes to clarify that Bahrain-based Dilmun Shipping Ltd., which was reportedly to be in financial difficulty, is not related to the Dilmun Navigation Group of Companies which are owned by SembCorp Logistics," the company said. SembCorp Logistics Limited - http://www.semblog.com/- provides marine salvage, offshore supply base services, passenger ferry services, tug services for berthing and docking of ships, ocean towage, marine transportation and integrated logistics services. =============== T H A I L A N D =============== ITALIAN-THAI: 50M Share Offer Fully Subscribed ---------------------------------------------- Italian-Thai Development Plc told the Stock Exchange of Thailand that its offer of 50 million shares at 10 baht apiece to its existing shareholders has been fully subscribed. It said local retail shareholders subscribed for 46.11 million shares, while institutional shareholders took up 2.08 million shares. Foreign institutional shareholders subscribed for 1.75 million shares and foreign retail shareholders subscribed for 52,300 shares. ITALIAN-THAI: Sells 50M Shares Via Rights Issue ----------------------------------------------- Italian-Thai Development PCL, Thailand's largest construction company, has sold all 50 million shares at 10 baht via a right issue. The move is a part of the Company's debt-restructuring plan to increase its registered capital by THB1.73 billion by issuing 173 million shares at THB10 a piece, bringing total capital to THB4.23 billion. The 50 million new shares were allotted to existing shareholders under the ratio of five existing shares to one new share from May 10 to 16. The remaining 123 million shares will be issued to creditors as part of a debt-to-equity conversion at an offer price of not less than THB10 each. Under the debt plan, Italian-Thai will set aside THB1.9 billion to buy back debt from its creditors at a discount of at least 65 percent. The THB12.81 billion in debt to be restructured will then be reduced to an estimated THB2 billion, which has to be repaid in six years. ITALIAN-THAI: Gets a "Buy" Rating on Earnings Improvement --------------------------------------------------------- KGI Securities (Thailand) Plc is recommending a "buy" on Italian-Thai Development as the investment holding company is expected to report a significant improvement in its second quarter earnings, AFX Asia reports. "It's backlog (of orders) of 50 billion baht is enough to generate more than three years of healthy income, suggesting that it is well fortified against any downturn," it said. Italian-Thai's second quarter financial statements will improve significantly as it will book a gain of between 5.2 billion baht and 9.3 billion baht as a result of its debt restructuring, it said. Italian-Thai Development has performed beyond the earlier target price, rising on speculative interest ahead of the conclusion of the company's debt-to-equity restructuring on June 10. TPI POLENE: Creditors Agree on Siam City Cement Deal ---------------------------------------------------- The creditors of TPI Polene Plc has agreed in principal with Siam City Cement Plc's proposal to subscribe to TPI Polene shares, AFX Asia reported. Siam City Cement, 32 percent held by Holcim AG, on February 25 signed a share subscription agreement with TPI Polene to subscribe to 1.7 billion shares as part of a takeover of the company. The subscription agreement expired on May 25. Creditors, TPI Polene and Siam City Cement are now working on details of the contract as the agreement has been agreed in principal. S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter -- Asia Pacific is a daily newsletter co-published by Bankruptcy Creditors' Service, Inc., Trenton, NJ USA, and Beard Group, Inc., Washington, DC USA. Lyndsey Resnick, Maria Vyrna Nineza-Merlin, Maria Cristina Pernites-Lao, Editors. Copyright 2002. All rights reserved. ISSN: 1520-9482. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. The TCR -- Asia Pacific subscription rate is $575 for 6 months delivered via e-mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are $25 each. For subscription information, contact Christopher Beard at 240/629-3300. *** End of Transmission ***